Technavio analysts expect the global liquid detergent market for the period 2015 to 2019 to exceed USD 29 billion by 2019, growing at a CAGR of almost 8%, according to their latest report.
According to Brijesh Kumar Choubey, lead analyst at Technavio for cosmetics and toiletry research, “Awareness about the advantages of liquid detergent and rising disposable incomes have led to the penetration of liquid detergent in households globally. Vendors continually experiment with fragrances, natural ingredients, and ways to improve product efficacy. Vendors have also launched products in developing countries, where the penetration rate of liquid detergent is still quite low.”
Technavio’s lead consumer and retail research analysts have identified the following three factors that will drive the global liquid detergent market:
Growing urbanization
Shifting lifestyles
Innovation in packaging
Growing urbanization
Growing urbanization is expected to positively impact the market for liquid detergent. The urban population is likely to exceed 65% by 2050. This increase in the urban population has led to a change in lifestyle and hygiene habits, especially those in developing countries like Brazil, China, and India.
Growing urban populations and higher disposable incomes have led to a rise in demand for expensive apparel. This in turn, is expected to increase the demand for liquid detergent in the future as such apparel needs to be washed gently so as to last longer. Consumers tend to use high-quality laundry products like liquid detergent for maintenance of expensive apparel.
Until a few years ago, people in developing countries used either detergent soaps or powders. However, increasing disposable incomes and resultant increase in purchasing power has made liquid detergent affordable. “Sustained advertising and marketing initiatives have also increased awareness and improved product visibility in the urban setting,” says Brijesh.
Shifting lifestyles
Modern fast-paced lifestyles have forced time-pressed consumers to seek convenience. Liquid detergent is marketed as a convenient and sophisticated product that is more efficient and economical.
Moreover, an increase in working women population has resulted in higher average household incomes. In 2014, women comprised 49% of China's total population and 46% of its labor force. As a result, the demand for many convenient products has increased, transforming them into daily essentials. For example, the use of washing machines is increasing in many households. This has fueled the demand for liquid detergent, a more convenient option compared to cake or powder detergents.
Thus, the demand for time-saving and efficient laundry solutions has led to the popularity of liquid detergents. Apart from product efficacy, consumers pay importance to the brand name and price before buying the liquid detergent.
Innovation in packaging
Liquid detergent is versatile and lends itself easily to innovative packaging. In July 2013, Unilever, in collaboration with Global Closure System, introduced new packaging for super-concentrated liquid detergent for its brands Persil and Skip in the UK and Ireland. This contained a three-piece bicolor dispensing closure and a stain eraser ball that is directly usable in washing machines.
Many brands like Surf, Purex, and Ariel are available in printed stand-up pouches. These attractive pouches reduce packaging, transportation, and storage costs and maximize the limited shelf space available in supermarkets.
Browse Related Reports:
Dishwashing Detergent Market in Europe- Market Research 2015-2019
Global Dishwashing Detergent Market 2015-2019
Global Laundry Care- Market Research 2015-2019
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Growing urbanization to impact the global liquid detergent market
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